Best Payroll AI pick
Chosen by an AI model from its trained knowledge, with its reasoning.
AI pick (brand): Gusto
Gusto runs full-service payroll for small US businesses, automatically filing and paying federal, state and local payroll taxes with year-end W-2s and 1099s.
Not for: Businesses with large or complex HR needs, and employers outside the US.
AI picks by need
For growing business wanting a large provider with HR support
ADP RUN Powered by ADP (line)
ADP's small-business payroll scales into HR, benefits and compliance services from a large provider.
Not for: Owners who want the simplest self-serve setup.
For DIY desktop payroll where you file taxes yourself
Halfpricesoft ezPaycheck (line)
ezPaycheck calculates paychecks and tax amounts and prints checks and forms locally, without a cloud subscription to a full-service provider.
Not for: Anyone who wants tax deposits and filings handled for them.
What the AI looks for in Payroll
- Full-service tax filing
- Prefer services that file and pay federal, state and local payroll taxes for you. Late or wrong deposits trigger penalties that easily exceed the software cost.
- State and local coverage
- Confirm support for every state and locality where you have employees. Coverage of multi-state and local taxes varies by provider.
- Contractor payments
- Check that it pays contractors and files 1099s. Most small businesses mix employees and contractors.
- Accounting integration
- Verify payroll journal entries sync to your accounting software. Manual payroll entries are a common source of book errors.
- Direct deposit timing
- Check the funding lead time required before payday. Long lead times strain cash flow.
Brands that matter
- Gusto: Full-service payroll built for small businesses.
- ADP: Large provider that scales from small business to enterprise.
- Paychex: Established full-service payroll and HR provider.
- Intuit QuickBooks Payroll: Convenient if you already run QuickBooks Online.
- OnPay: Straightforward full-service payroll for small teams.
- Halfpricesoft: ezPaycheck, a desktop DIY payroll calculator.
What to avoid
- DIY payroll software if you are not prepared to make tax deposits and filings on time yourself.
- Providers that do not cover all your employees' states or localities.
Questions
What does full-service payroll mean?
The provider calculates, deposits and files payroll taxes and year-end forms for you, rather than just calculating paychecks.